SYDNEY (Reuters) – Australia’s banking regulator on Tuesday told insurer Medibank it would have to set aside A$250 million ($167 million) in extra capital, citing weaknesses identified in its information security after a network intrusion.
The Australian Prudential and Regulation Authority said the capital adjustment will be effective from July 1 and remain in place until an agreed remediation program is completed by Medibank to the regulator’s satisfaction.
Medibank last year disclosed that a hacker stole the personal information of 9.7 million current and former customers and released the data on the dark web in one of Australia’s biggest data breaches.
($1 = 1.4981 Australian dollars)
(Reporting by Renju Jose in Sydney; Editing by Chris Reese)
